Influence of Institutional Change on Landowner Willingness to Allow Fee-based Recreation in the Louisiana Delta

The willingness of landowners to allow fee-based recreational use of their land was investigated using data obtained from a mailed questionnaire sent to landowners in the Delta region of Louisiana. Previous studies have identified that landowners often chose not to engage in recreational leasing due to liability concerns. An institutional change that reduces liability risk to landowners may increase the amount of private land available for public recreation. Also, owners of marginal agricultural land may be more willing to consider alternative land uses such as feebased recreation. Probit models are used to examine the yes/no decision to allow fee-based recreation preand post-institutional change. About 14% of landowners indicated that they would be willing to allow fee-based recreation under the current institutional environment. If the Louisiana recreational use statute was amended giving greater liability protection to landowners, the number of landowners willing to allow fee-based recreation on their lands would increase to nearly 24%. Clearly, an institutional change that reduces liability risk to landowners can increase the potential amount of private land that could be used for fee-based recreation. Owners of marginal land were particularly responsive to an institutional change providing greater liability protection. Risk-averse landowners were more unlikely to allow fee-based recreation under the current institutional environment. Following an institutional change it was observed that risk preference was no longer a significant predictor of the willingness to allow fee-based recreation indicating that the element of risk was diminished. In: Siry J, Izlar B, Bettinger P, Harris T, Tye T, Baldwin S, Merry K, editors. 2009. Proceedings of the 2008 Southern Forest Economics Workers Annual Meeting; 2008 Mar 9-11; Savannah, GA. Athens (GA): Center for Forest Business, Warnell School of Forestry and Natural Resources, University of Georgia. Center for Forest Business Publication No. 30.